5.13 Appropriate sharing of risks is key to ensuring that the VfM benefits in PFI projects are realised. These benefits flow from ensuring that the many different types of risks inherent in a major investment programme, for example construction risk or the risk associated with the design of the building and its appropriateness for providing the required service, are borne by the party who is best placed to manage them. The Government's approach to risk in PFI
projects does not seek to transfer risks to the private sector as an end in itself. Where risks are transferred, it is to create the correct disciplines and incentives on the private sector to achieve the best VfM outcome.